Rising commodity prices

We are in a different situation than 1 year ago. Many things have developed differently than we had anticipated. Fortunately, the Covid 19 situation creates an increasing demand for fireplaces, also in Denmark.

For our suppliers, this means an extreme demand for raw materials, with associated price increases and delivery times of raw materials. Many suppliers in the industry will expect high demand for raw materials and associated price increases in the future.

Spartherm
The factory is working at full speed, and they work overtime as well as Saturdays to meet the high demand. We get delivery times of 12-13 weeks +.

Prices
The demand for steel affects the price in an upward direction. Prices will increase by an average of 8% at Spartherm from 1 July 2021. I.e. orders placed after this date will be subject to a price increase of 8%.

DRU
Dru is working to minimize delivery times, but here too longer delivery times are confirmed. The demand for gas-fired fireplaces is increasing sharply. Delivery times must be expected to increase over the coming period and currently we have 6-8 weeks +.

Prices
A price increase of approximately 9% has been reported effective from July 1, 2021.

Vento Products
Our subcontractors have announced price increases. Here, we expect a price increase of 8% effective from August 1, 2021.

Vento Nordic A/S